Annual en bloc commercial property transaction volume in China is set to surge by 45% to RMB 260 billion by 2020, according to a new forecast by CBRE Research, as the country transitions from a primary market dominated by investment for development, to a secondary market characterised by investment in income producing assets.

CBRE Research also forecasts that an additional RMB 1 trillion could potentially be invested into the China real estate market between now and 2020. The rise will be driven by the increased participation of institutional investors, such as insurance companies and domestic real estate funds, along with real estate developers and foreign investors.

This Special Report by CBRE Research examines the growth potential for the China commercial real estate market; identifies the key macro trends expected to shape investment strategy in 2020; and includes recommendations for property investors and developers. Major investment themes are expected to include transport-oriented-development; urban renewal; ‘One Belt, One Road’ and niche sectors.

Investment opportunities in the commercial property market emerge in line with developmental phases of municipal economies and are therefore driven by local fundamentals. Based on the fact that the size of the investable real estate market is highly correlated to that of the total economy, the report ranks the maturity of the commercial property market in 286 domestic cities based on the per capita added value of tertiary industry.